Looks like SPY is ready to make a HUGE downward move.
I think it's possible that the RSI might even break up out of that wedge, but would subsequently fall.
You can see a similar, but less dramatic effect on the daily.
This, and converging moving averages on the VIX, and a shrinking ATR all tell me that the bands are narrowing, things are coiling up.
A big move is coming, and probably soon. If I were a betting man (full disclosure, I am.. I'm here after all :) I'd be playing vix calls and shopping for SPY puts. These charts tell me there's a huge pile of tinder and fuel, just waiting for a spark.
I think it's possible that the RSI might even break up out of that wedge, but would subsequently fall.
You can see a similar, but less dramatic effect on the daily.
This, and converging moving averages on the VIX, and a shrinking ATR all tell me that the bands are narrowing, things are coiling up.
A big move is coming, and probably soon. If I were a betting man (full disclosure, I am.. I'm here after all :) I'd be playing vix calls and shopping for SPY puts. These charts tell me there's a huge pile of tinder and fuel, just waiting for a spark.